Brazil has temporarily lifted its 18 percent tariff on all U.S. ethanol as of Wednesday, March 23 and running through the end of the year to decrease inflationary pressures. 

Ryan LeGrand, President and CEO of the U.S. Grains Council; Emily Skor, CEO of Growth Energy; and Geoff Cooper, President and CEO of the Renewable Fuels Association, released a joint statement regarding the tariff. 

The leaders say, “We are pleased to see the temporary elimination of the 18 percent tariff, which should improve access for Brazil’s ethanol consumers as well as help meet its own decarbonization goals.” 

Brazil sources an estimated 60 percent of its ethanol imports from the United States. World-Grain reports most cars in the country are flex-fuel, which means they can either use gasoline or hydrated ethanol. 

Brazil also has a mandatory blend of 25 percent to 27 percent anhydrous ethanol in gasoline.

(Story Courtesy of the NAFB News Service)